Menu

Enerplus Corp (ERF)

This week, MFC and SLF fell off my top five list of TSX 60 stocks sorted by momentum. PWT is back on, along with a new entry: Enerplus Corp (ERF). Enerplus is an oil and gas exploration and development company. They used to be an income trust, but converted to a high-dividend-paying corporation. The common shares currently yield 6.15% (paid monthly).

The shares don’t look particularly expensive. The price-to-book ratio is just over par (1.14), however negative earnings make it impossible to judge P/E. 28% of the shares are held by institutional investors, and analysts rate it either a hold (6) or a buy (11). I like the relatively low debt-to-equity at 35% and I’ll be much more positive as soon as earnings turn positive.

But it doesn’t really matter what I think. The stock price has been rising for the past nine months. Before that, it took a huge tumble, but there’s a new management team in place and they’re looking to make a turnaround.

Twitter

Contact Details

In an effort to minimize cost to clients, I have not set up a physical office. I can meet with you at your office, at your home, at a coffee shop, at a public library or using video conferencing (Google Hangouts)